There are no ticket charges in SAM for exchanges between funds in the same family, at least.  So, for example, if you’re using Oppy Gold and Spec Minerals and the client needs to trim that back and increase international bond exposure, you could move some $ into Oppy International Bond.  Same with American Funds, and a few others from first hand experience.  Obviously you still need to work to get the best possible funds for your client, but every little bit in cost reduction helps.

Too, I have all mutual funds in SAM pay dividends into cash, and use that cash for rebalancing.  That way you don’t have to enter as many “SELL” orders to rebalance. 

In the end, though, the only way to reduce your ticket charges is to keep your transactions under control.

By the way-if you’re considering the SAM II platform versus SAM I I’d recommend against it.  Let the client pay the ticket charges. If they have a major issue with it then move on to someone else…they’re too picky about minor costs.  Also fewer conflict of interest problems if you have the client pay versus you paying ticket charges in SAM II and worrying about your profit margins…

In the beginning I to worried about ticket charges! But I consider them just part of doing buisness. 

But it does get to me how E-trade can do it for $8 or less and LPL charges me $25   

Going forward I am conserned about this group that LPL entered into partnership with   

[quote=Greenbacks]

In the beginning I to worried about ticket charges! But I consider them just part of doing buisness. 

But it does get to me how E-trade can do it for $8 or less and LPL charges me $25   

Going forward I am conserned about this group that LPL entered into partnership with   

[/quote]

Me too.  On all counts.

I kind of understood that as a step toward going IPO… any thoughts?

[quote=Ready2Jump]I kind of understood that as a step toward going IPO… any thoughts?
[/quote]

Quite possibly, or quite likely, it is.

Todd Robinson, the former 100% owner of LPL, has apparently been trying to sell a large part of his exposure for while.

It was to my understanding Todd Robinson plan was to sell shares to reps

But I think he got greedy and left us hanging

I see LPL trying to increase there bottom line at all costs! Look at OMP and the funds they have in it 

Also the OMP annuity they chose Skandia  One of the worst comanies out there! The way I see it they offered LPL the most $$$ to get in! I refuse to use either one of these platforms.

Over all I am still happy with LPL but as does any BD they have something's they could improve on!     

Yeah, OMP… what are the problems with it.  All I’ve heard are
the cushy stuff, the actual funds used are often not mentioned. 
Why would you need an annuity in OMP?  

[quote=Greenbacks]

It was to my understanding Todd Robinson plan was to sell shares to reps

But I think he got greedy and left us hanging

I see LPL trying to increase there bottom line at all costs! Look at OMP and the funds they have in it 

Also the OMP annuity they chose Skandia  One of the worst comanies out there! The way I see it they offered LPL the most $$$ to get in! I refuse to use either one of these platforms.

Over all I am still happy with LPL but as does any BD they have something's they could improve on!     

What type of business are you looking to work around on the tkt chgs? 

GBacks, Equities are only costing me $15 v $25 that you mentioned.

If Mfds, systematic set up is the best way - it only takes 4 cycles to qualify (4 months, 4 quarters etc).

My mistake on equitie charge you are right $15. Still almost double then the discounters! I would think LPL would be able to do it for near that and still make a nice profit!  

I have no idea on that - I look at it from a competitve perspective, RJ, Commonwealth etc... all charge almost double what LPL does so they are a bit ahead in my mind.  I haven't a clue on how the discounters do it. 

Anyway, hope business is well.

CSMEL - Really?  So only 4 cycles required for systematic?  That would be great!  That's why this forum is awesome...

That's correct R2J - hope it helped.

So is it the 90% payout before or after ticket charges? 

Yes.  Mine runs about 85% after ticket charges…

[quote=Indyone]Yes.  Mine runs about 85% after ticket charges...[/quote]

Ticket charges are costing you 5%?

What about FICA? Is it only up to a certain income level?

TheAnswer, I'm not sure if you're just asking questions you already know the answer to or not, so I'll spare you some sarcasm.

Obviously Indy's not netting 90% on his business.  One of the biggest differences between the Independents and other firms is who controls the business.  LPL pays IndyOne as much as they can and he controls all the aspects of his business at the local level.  If he wants to pay an assistant he can find one he likes, pay them what he feels they deserve, and let them go if it's not working out.  It's the same thing for every other aspect of his business.  The Indy B/D only steps in if something the Advisor does is breaking securities law (Compliance).

I would say, and Indy will probably back me up on this, that after all your expenses, including an assistant and a personal 401k/SEP/whatever contribution the NET is probably around 60% or so.  That will DEFINITELY vary and could be higher or lower, depending on what I need to run my business.

Do you want to manage your business or own one?

Regarding FICA:  For LPL's Insured Cash Account Program

FDIC insurance on cash sweep balances up to $1 million for single account holders and $2 million for joint account holders.

Hope that helps

[quote=moleary]

Regarding FICA:  For LPL’s Insured Cash Account Program

FDIC insurance on cash sweep balances up to $1 million for single account holders and $2 million for joint account holders.

Hope that helps